STC credits – further reminder of looming deadline

STC credits of a company can be used until 31 March 2015 to reduce dividends subject to dividends tax.

Companies are once again reminded that the deadline for the use of STC credits is fast approaching. On 1 April 2015 the STC credits of a company will be deemed to be nil. The effect of this is that from that date STC credits will not be available to reduce the amount of dividends that are subject to the dividends tax.

Companies with a balance of STC credits should act now to consider the payment of dividends before the deadline in order to utilise any STC credits and consult with us as to possible solutions.

WHY REGISTER WITH SAIT?

Section 240A of the Tax Administration Act, 2011 (as amended) requires that all tax practitioners register with a recognized controlling body before 1 July 2013. It is a criminal offense to not register with both a recognized controlling body and SARS.

MINIMUM REQUIREMENTS TO REGISTER

The Act requires that a minimum academic and practical requirments be set to register with a controlling body. Click here for the minimum requirements of SAIT.